Relatively Safe, Land Lot Investment Increasingly Popular

JAKARTA — Public interest in land lot investment has continued to increase over the past several years. Based on land lot data as of March 2026, land lot prices in Bekasi range from Rp 1.7 million to Rp 10 million per square metre. Meanwhile, average prices in strategic areas such as Jati Asih and Cikarang reach Rp 3 million to Rp 4.6 million per square metre, depending on size.

Because of this, for many people, land is valued as a relatively safe asset since its value tends to increase over time.

Limited Supply

Vice-Chairman of the Board of Directors of the Indonesian Real Estate Council (REI) Bambang Ekajaya stated that the limited quantity of land is one of the main reasons why this asset is highly sought after by investors. According to him, although new land can currently be created through reclamation, the costs required are far greater than natural land. Additionally, construction on reclaimed land also presents its own challenges.

He explained that the reclamation process ideally requires a considerable amount of time for the soil to reach a stable compaction level before development. In practice, this process can take decades.

“The reclamation process should be left to settle for long enough until the compaction is truly stable. According to regulations, a minimum of approximately 20 years must pass before construction is permitted,” Bambang added.

However, according to him, the lengthy process often causes capital costs to become very high. This situation leads some parties to choose to sell the land after the filling process is completed without waiting for the prolonged compaction period.

Most Important Investment Component

On the other hand, Bambang views land as the most important component in property investment.